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FinTech Chain (ASX:FTC) Financial Strength : 0 (As of Mar. 2025)


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What is FinTech Chain Financial Strength?

FinTech Chain has the Financial Strength Rank of 0.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

FinTech Chain's Interest Coverage for the quarter that ended in Mar. 2025 was 18.22. FinTech Chain's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.47. As of today, FinTech Chain's Altman Z-Score is -3.21.


Competitive Comparison of FinTech Chain's Financial Strength

For the Software - Infrastructure subindustry, FinTech Chain's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


FinTech Chain's Financial Strength Distribution in the Software Industry

For the Software industry and Technology sector, FinTech Chain's Financial Strength distribution charts can be found below:

* The bar in red indicates where FinTech Chain's Financial Strength falls into.


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FinTech Chain Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

FinTech Chain's Interest Expense for the months ended in Mar. 2025 was A$-0.08 Mil. Its Operating Income for the months ended in Mar. 2025 was A$1.44 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was A$0.29 Mil.

FinTech Chain's Interest Coverage for the quarter that ended in Mar. 2025 is

Interest Coverage=-1*Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*1.439/-0.079
=18.22

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

FinTech Chain's Debt to Revenue Ratio for the quarter that ended in Mar. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(7.236 + 0.291) / 16.062
=0.47

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

FinTech Chain has a Z-score of -3.21, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -3.21 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


FinTech Chain  (ASX:FTC) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

FinTech Chain has the Financial Strength Rank of 0.


FinTech Chain Financial Strength Related Terms

Thank you for viewing the detailed overview of FinTech Chain's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


FinTech Chain Business Description

Traded in Other Exchanges
N/A
Address
1701, Block B2, No.15 KeYuan Road, KeXing Science Park, Nanshan District, Shenzhen, CHN, 518000
FinTech Chain Ltd is a provider of Integrated Payment Acquiring infrastructure for banks and Industry Application Solutions. The Company's operating activities are attributable to a single operating segment as the revenue is derived from interconnected services of T-LinxTM SaaS platform including SaaS cloud service, SaaS for hardware IoT and SaaS for rights/interests/points/marketing/promotion. Geographically, it derives a majority of its revenue from PRC. It serves banking, catering, department store, community, tourism, and retail industries. Its product portfolio includes Prepaid Cards, Integrated Payment Systems, POS P, BIN-Based Promotion Tools, Transaction E-Authentication, Digital Community Service, T-Linx Cloud Service, T-PAD, TL-008/009, and others.